Jan 2, 2025
As is the case in many cities across the U.S., San Diego is experiencing an affordable housing crisis. And to try to address it, the city has been taking steps to pave the way for more affordable options.
However, one of San Diego’s solutions for the crisis, Accessory Dwelling Units, or ADUs, are stirring up some strong reactions from existing residents.
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Through the Bonus ADU program, property owners in San Diego are allowed one bonus unit for every affordable unit they build. To qualify as an affordable ADU, a unit must be deed-restricted as affordable to very low, low, or moderate income households for 15 years. Developers have been making the most of this program, reportedly adding up to 17 units in one build.
But a group of property owners in the Clairemont neighborhood are fighting back after it was revealed an ADU project on their cul-de-sac will add 10 additional units to the backyard of a single home.
Here’s what’s got San Diego residents riled up.
Clairemont residents push back on plans
SDRE Homebuyers, the developer involved in several San Diego projects, told its ADUs are typically one bedroom and range from 500 to 800 square feet.
In Clairemont, the building permit shows SDRE intends to remodel the home and garage as well as build five new separate, two-story units in the backyard.
However, homeowners in the area told CBS 8 they worry about parking issues on their street. The lot in question has a bus stop within a half-mile, which means it qualifies as a Transit Priority Area. And as a TPA, there’s no limit to how many total ADUs can be constructed or parking requirements.
“It’s super frustrating,” Jerry Rapp, a resident of Shoshoni Avenue in Clairemont. “You buy into a neighborhood, you’ve got these fantastic neighbors, and then we’re going to get an apartment complex right here. It’s not what we signed up for.”
And residents aren’t content to just accept the change. In October, Neighbors for Clairemont filed a lawsuit against the developer of the new ADU project as well as the City of San Diego for allowing the project to move forward. The first court hearing is scheduled for May.
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Affordable housing desperately needed in San Diego
Schyler Hoffman, an attorney representing SDRE, the San Diego developer, says he doesn’t expect parking will be an issue with their builds.
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“Millennials and Gen Z-ers do not own cars in the typical fashion that we did 20 years ago,” Hoffman told CBS8. “They’re taking Ubers. They’re taking public transportation. They’re working from home.”
He added, “These are really attractive units, and the build quality is exceptional because we’re trying to attract a certain type of tenant, you know, somebody who is responsible, somebody who is a good neighbor.”
Whether ADUs are a solution to the housing crisis in San Diego remains to be seen, but there’s no doubt that there is a crisis underway. As of 2024, only 10% of San Diego residents could afford a median-priced home, says the University of San Diego’s Nonprofit Institute. And almost two-thirds of San Diego residents are considering leaving the county, with most citing the high cost of living as the reason why.
Zillow reports that the average home value in San Diego is $1,010,255, marking a 4.8% year-over-year increase. And Redfin puts the median home sale price in San Diego at $930,000 as of November 2024 — a 3.1% increase from a year prior.
Meanwhile, Realtor.com says the San Diego housing market is expected to see a 3.4% increase in home sales and a 7.3% increase in median home sale prices in 2025. However, for many San Diego residents, homeownership is out of the question.
In 2023, San Diego was the nation’s third-most expensive rental market, according to Zillow. And as far as rents go, though, tenants may not be in for much relief in 2025. The California Tenant Protection Act sets a limit on how much rents can increase over a 12-month period. That limit is 10%, or 5% plus the percentage change in the cost of living. In San Diego, that limits landlords to an 8.6% increase through August 2025. But given the number of already rent-burdened tenants, that’s hardly a consolation.
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Maurie Backman has been writing professionally for well over a decade. Since becoming a full-time writer, she's produced thousands of articles on topics ranging from Social Security to investing to real estate.
